U.S. could be next 'virus epicenter' as India locks down, global recession looms

GENEVA/NEW DELHI (Reuters) - The United States could become the global epicenter of the coronavirus pandemic, the World Health Organization said on Tuesday, as India announced a full 24-hour, nationwide lockdown in the world’s second-most populous country.

India joined the ranks of Britain and other countries clamping down to hold back the virus as business activity collapsed from Japan to the United States at a record pace in March.

The highly contagious coronavirus has caused entire regions to be placed on lockdown. In some places soldiers are patrolling the streets to keep consumers and workers indoors, halting services and production and breaking supply chains.

“The global health crisis is rapidly morphing into a global recession, as there is a clear tension between preventing infections and ruining the economy,” said Edoardo Campanella, an economist at UniCredit Bank in Milan.

But Wall Street bounced from three-year lows as investors pin their hopes on the U.S. Senate passing a $2 trillion stimulus bill.

Confirmed coronavirus cases around the world exceeded 377,000 across 194 countries and territories as of early Tuesday, according to a Reuters tally, more than 16,500 of them fatal.

In Geneva, WHO spokeswoman Margaret Harris said infections in the United States had greatly increased.

Over the previous 24 hours, 85 percent of new cases were in Europe and the United States, and of those, 40 percent were in the United States.

As of Monday, the virus had infected more than 42,000 people there, killing at least 559.

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Asked whether the United States could become the new epicenter, Harris said: “We are now seeing a very large acceleration in cases in the U.S. So it does have that potential.”

Some U.S. state and local officials have decried a lack of coordinated federal action, saying that having localities act on their own has put them in competition for supplies.

President Donald Trump acknowledged the difficulty.

“The World market for face masks and ventilators is Crazy. We are helping the states to get equipment, but it is not easy,” he tweeted.

Indian Prime Minister Narendra Modi said on Tuesday the government would impose a nationwide lockdown from midnight for 21 days.

Health researchers have warned that more than a million people in India could be infected with the coronavirus by mid-May, prompting the government to shut down all air and train travel, businesses and schools.

On Tuesday, Modi, leader of the world’s biggest democracy, went further, saying nobody would be allowed to leave their homes.

“The only way to save ourselves from coronavirus is if we don’t leave our homes, whatever happens, we stay at home,” Modi said.

India has so far reported 482 confirmed cases of the coronavirus and nine deaths.

FILE PHOTO: A lone person walks in the rain in a mostly deserted Times Square following the outbreak of Coronavirus disease (COVID-19), in the Manhattan borough of New York City, New York, U.S., March 23, 2020. REUTERS/Carlo Allegri

OLYMPIC ORGANIZERS GIVE IN

Olympic Games organizers and the Japanese government had clung to the hope that the world’s biggest sporting event could go ahead, but finally bowed to the inevitable to make Tokyo 2020 the latest and biggest victim of a ravaged sporting calendar.

After a call with International Olympic Committee (IOC) president Thomas Bach, Japan’s Prime Minister Shinzo Abe said the July 24-Aug. 9 event would be rescheduled for the summer of 2021 at the latest - as proof of victory over the coronavirus.

“President Bach said he is in agreement, 100%.”

It was the first time in the Olympics’ 124-year history that they had been postponed, though they were canceled outright three times during the two 20th-century world wars.

Of the top 10 countries by case numbers, Italy has reported the highest fatality rate, at around 10%, which at least partly reflects its older population. The fatality rate globally - the ratio of deaths to confirmed infections - is around 4.3%, though national figures can vary widely according to how much testing is done.

Britain, believed by experts to be about two weeks behind Italy in the outbreak cycle, on Tuesday began curbs on movement without precedent in peacetime after Prime Minister Boris Johnson ordered the country to stay at home.

The streets of the capital were quiet as all but essential shops closed and people only went to work if it was unavoidable.

Johnson had resisted pressure to impose a full lockdown even as other European countries had done so, but was forced to change tack as projections showed the health system could become overwhelmed.

Meanwhile China’s Hubei province, the original center of the outbreak, will lift curbs on people leaving the area, but other regions will tighten controls as new cases double due to imported infections.

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The provincial capital Wuhan, which has been in total lockdown since Jan. 23, will lift its travel restrictions on April 8.

However, the risk from overseas infections appears to be on the rise, prompting tougher screening and quarantine measures in cities such as the capital Beijing.